Assalamo Alaikum Shaykh,
I am planning to open a car hire company where I will offer car hire service to private hire drivers with 3rd party insurance only.
I have understood from your website that car insurance is haram and we should only take insurance which cost the cheapest whether it is comprehensive or 3rd party only and this is why I am planning to take the 3rd party insurance only coz it is the cheapest. I have the option to ask the customer to do the insurance himself or I can take a fleet policy and sell the insurance myself on top of car hire and make some money as well from the insurance. is it permissible to offer car hire service with option to sell insurance on top with the intention to make some money from selling the insurance?
In the Name of Allah, the Most Gracious, the Most Merciful.
As-salāmu ‘alaykum wa-rahmatullāhi wa-barakātuh.
Car insurance has only been permitted due to necessity. A genuine necessity will result in exemptions from the default laws of Sharī’ah. When a genuine necessity does not exist, the dispensations will not be granted.
In the question in reference, there is no genuine need for you to take out a fleet policy. You should let the client take out his own insurance.
And Allah Ta’ālā Knows Best
Mufti Faraz al-Mahmudi,
Mufti Faisal bin Abdul Hameed al-Mahmudi